Example. Manufacturers mainly focus on production and creating products or finished goods. In 2017, 61% of all wine revenue came from direct to consumer sales – cheers! The direct to consumer sales model is a selling concept that allows brands to sell directly to consumers, bypassing the long-time model with a retailer in the middle. The direct-to-consumer advertising of prescription medications is only legal in the United States and New Zealand. The writing is on the wall. Why Brands are Going to Direct to Consumer. So selling direct is the single greatest opportunity legacy manufacturers have to reignite growth. According to Forbes, over a third of consumers report that they bought directly from a brand manufacturer’s web site last year. Ecommerce currently accounts for 11.1% of total U.S. retail sales. To help you capitalize, we’ve divided this report into three parts: Direct-to-Consumer Data; Benefits of DTC Ecommerce; 12 Enterprise Examples of DTC; Direct-to-Consumer Data. The number of manufacturers selling directly to consumers is expected to grow 71% this year to more than 40% of all manufacturers. However, if manufacturers can create a direct selling business model that works, it’s a potentially lucrative revenue stream because a significant number of consumers are open to this option. Direct selling is when individual salespeople reach out to consumers directly, whereas direct marketing is when a company markets directly to consumers. It has spread its network to more than one hundred countries and has unaccountable representatives that are an integral part and parcel of its global corporation. Here are just a few examples: Nike is investing heavily in their direct to consumer model, predicting to grow DTC sales from $6.6 billion in 2015 to $16 billion in 2020. One of the best examples of direct selling companies is an American origin organization Amway that has the distinction of offering the most number of bonuses to its employees in the year 2010. Many well-established companies run both B2C and B2B operations, but they typically apply different marketing and sales strategies when dealing with consumers … Manufacturers rarely sell their products directly to consumers or the end users of the products. Instead, manufactures usually sell their products to other businesses down the chain like a … A television spot featured Robert Jarvik, creator of the artificial heart and a “distinguished doctor.” And the number of manufacturers selling directly to consumers is expected to grow by 71% this year to more than 40% of all manufacturers. Direct to consumer means you are selling your product directly to your end customers without third-party retailers, wholesalers, or other middlemen. 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